Pilot / Project Objectives
- Deliver energy savings through innovative technologies
- Increase independence for participants through smart home solutions
- Evaluate customer satisfaction and usability of smart devices
- Build and leverage meaningful partnerships with community-based organizations
- Understand the perception and impact of Focus on Energy among targeted groups
- Discover the non-energy benefits of energy efficiency measures
Pilot / Project Updates
The Focus on Energy Accessible Efficiency Pilot is designed to serve a customer segment that has historically not participated in or benefited from traditional energy efficiency programs. Offered in the Greater Milwaukee Area, the pilot provides direct-install measures to income-qualified individuals who are seniors (65 or older), have a disability, or face other accessibility barriers in their homes. It pursues two primary objectives: delivering measurable energy savings while also improving home accessibility through innovative, user-friendly technologies.
The pilot engages customers through partnerships with community-based organizations (CBOs) and local trade allies. Eligible products include smart thermostats, LED lighting, air purifiers, handheld showerheads, faucet aerators, and smart power strips. In addition, each home is equipped with a central smart hub that integrates these devices into a cohesive smart home network, enabling residents to control lighting, temperature, and other features remotely or through voice commands.
The pilot aimed to accomplish the following:
- Serve a customer segment that has historically not participated in energy efficiency programs. In addition to low participation, most customers were completely unaware of Focus on Energy in general. Because of this, customers were skeptical of the program offering and assumed it was “too good to be true” and therefore untrustworthy. The CBO’s involvement proved invaluable. Even when customers did not fully understand the program or were hesitant about the technology or their participation, their trust in the CBO motivated them to engage. Customers consistently expressed confidence that the CBO would act in their best interests, which ultimately drove participation.
- Explore the CBO customer referral model. Partnering with CBOs to bring customers to the program provided several benefits, such as significantly lower spend on marketing and outreach, a higher acquisition rate of qualified customers, and an increase in community engagement and partnership for Focus on Energy. This method of outreach proved to be quite successful from a recruitment standpoint as over 80% of customer referrals led to completed projects. In addition, Focus on Energy was able to reach a niche customer segment without misleading other customers who would not qualify to participate.
- Understand the unique customer segment. Individuals with accessibility issues have unique energy usage habits and face unique barriers to participating in traditional energy efficiency programs. As part of the Pilot, the team was tasked with collecting information on existing customer equipment to inform the creation of a customer baseline, as well as survey customers to understand their unique energy consumption habits as well as any barriers to participating in energy efficiency programs. A more detailed analysis is presented in the Customer Baseline Conditions report- however, customers were found to have much older HVAC equipment than anticipated, and multiple customers reported not using cooling equipment in the summertime due to energy costs and income constraints. Anecdotally, customers mentioned their inability to participate in “kit-based” energy efficiency programs due to their inability to self-install measures due to mobility issues.
Key Outcomes
The pilot was able to serve more customers (196) than the original scope of 150.
150 customers participated in post installation quality assurance surveys which provided Focus on Energy with insights into their habits that effect energy use, perspective on the program, and areas in which more customers could be helped.
The customer baseline report highlighted interesting findings about the customer segment in this pilot. Some key takeaways from this report:
- Many customers do not cool their homes in the summer due to inadequate equipment or trying to avoid high electricity bills
- The HVAC and water heating equipment for most customers are due for replacement based on an effective life of 12 years
- Customers were unaware of Focus on Energy but were interested in the other programs available after participating
The CBO referral model proved to be an effective method for recruiting customers. All leads for the program were provided by the CBO and ensuring enough customers would participate was never a concern.
Lessons Learned
- The CBO referral partnership model is highly effective. The team was initially hesitant as to the success of the CBO referral model, as there was a build-up period during which the volume of referrals ramped up. However, once the program had reached a steady state of operation, referrals were plentiful. Additionally, the Pilot featured a high volume of customer-to-customer word of mouth referrals, which increased with time.
- Some customer segments need a direct approach to energy efficiency. As was the case with the customer segment targeted for this pilot. The customers were not actively seeking to improve the energy efficiency of their homes. Besides the general lack of awareness from customers of Focus on Energy programs, there are other barriers to them participating in programs. This customer segment does not participate in programs that require them to initiate the process by calling a contractor or professional. Customers in this segment have many competing priorities, including their own health, literacy issues, and fear of cost. As a result, CBOs refer them into programs by making the programs come to them- such as through having resource fairs from various programs and offerings and performing live enrollments and providing support.
Recommendations and Next Steps
The pilot demonstrates that the target customer segment has needs that exceed those of a typical Focus on Energy participant. A direct-install delivery model, combined with referrals from community-based organizations, has proven effective in reaching this demographic. Additionally, customer research indicates the presence of older, outdated equipment, suggesting a higher potential for energy savings within this population.
Focus on Energy should consider expanding partnerships with CBOs to better engage customers who may be skeptical of or unaware of energy efficiency programs. Furthermore, offering energy efficiency upgrades that minimize participation barriers is likely to produce the strongest outcomes.
Questions?
Contact the Future Focus team with questions at futurefocus@focusonenergy.com.
